A Debt Relief Order (DRO) lasts a year. This is sometimes called “the moratorium period”.
At the end of this year, all the debts that were included in your DRO are wiped out.
You aren’t contacted at the end of the DRO year
There is no “DRO Completion” check made at the end of this year. Not by the Insolvency Service and not by the debt adviser who set up your DRO.
You won’t be asked to provide any details about your income or savings at the end of the 12 months.
(Of course you should have informed the DRO Unit during the year if your income had gone up or you had received some money.)
Most people expect to get a certificate from the Insolvency Service or an official letter from the Official Receiver at the end of a DRO, but nothing arrives!
This is normal – the letter hasn’t got lost in the post. It doesn’t mean that something has gone wrong with your DRO and it hasn’t ended properly.
What could stop a DRO completing successfully?
There are a few things that can go wrong:
- evidence may emerge that your debts were larger than the maximum allowed. Or that you had more than the permitted asset or surplus income level when you started the DRO;
- you may break one of the “DRO restrictions”, see this National Debtline factsheet;
- your income may rise or you may inherit money or get another windfall that increases your assets. This won’t always mean your DRO fails. See DROs – what if my pay increases or I get a lump sum of money? for details.
These problems are all very rare – only about one per cent of DROs fail. You would definitely know about it if one of them has arisen with your DRO.
So if you haven’t heard of any difficulties, one year after the start date it is safe to assume your DRO has completed. That means you no longer owe the debts that were included in it.
Check the Insolvency Service register
The Insolvency Service keeps a register of everyone who has a DRO – this will show the date your DRO ends.
After it has finished, you will see a line saying something like:
Status Currently Subject To Debt Relief Order : Moratorium Period ended on 05 March 2019
Don’t panic about this! You aren’t subject to the DRO anymore, it is badly worded – that word “ended” means your DRO has completed on the date given.
The record will remain for three months after this date. If you check the register again after that, your name should no longer appear.
It’s a good idea to take a copy of this record during the three months it is there for – print it off or take a screenshot of it. You can then show this to any creditor that is disputing whether your DRO has finished.
If you don’t print off the record in time, or you later lose your copy, you can tell a creditor who wants proof your DRO has finished to contact the Insolvency Service’s DRO team to get confirmation.
After the end, you don’t have to tell the Insolvency Service about anything
From this point on, you can win the lottery, inherit a house or get a big pay rise and you don’t have to inform the Insolvency Service.
You can also take money out of your pension. Or borrow money (although your credit rating will be poor for a while).
Of course these may not be good financial decisions, but it’s up to you.
When does your credit record improve?
It takes time for your credit record to recover from a DRO.
The record of the DRO itself will remain on your credit file for six years in all. So it goes five years after your DRO finishes. You don’t have to do anything, this happens automatically.
At the end of a DRO, you will find it very hard to access any form of credit, but it will get easier as time goes on.
You can make this faster by going through a “clean-up” process on your file. This makes sure that the default dates for all your debts are on or before the date your DRO started and that after your DRO finishes, the balances owed are all set to zero and the debts marked as settled or partially settled.
Avoiding debt problems in future
Getting debt-free can seem almost magical at first – it may feel like the first time ever in your adult life that you don’t owe anyone any money.
But there are a lot of pressures these days that make it hard to stay out of debt.
One very positive thing you can do is to start saving an emergency fund, no matter how small.
No emergency fund? That’s nuts!
My energy DD can’t be right!
Tips for taking control of your money
Mark says
hi. My DRO ended 2012 when the six years are up can I run my own business ?? Do I have to get permission from courts Thanks
Sara (Debt Camel) says
Hi Mark, you can start a business, including being a director, now. You don’t need anyone’s permission and don’t have to wait 6 years.
Lea says
Hi, A family members Right To Buy their council house was denied due to her having obtained a DRO in 2011. Are the council/HA in their right to do this or does she have grounds to appeal with it being back in 2011?
Sara (Debt Camel) says
hi Lea, as far as I am aware, the restriction on Right To Buy only applies during the 12 months of a DRO, not after it has finished. She could go to her local Citizens Advice Bureau who will be able to help with further complaints or going to the Local Government Ombudsman.
Samantha says
Hi
My DRO was approved in September 2013, yet on checking my credit report today for the first time I noticed that the three debts I had to Lloyds Bank are still being marked every month as defaulted, and I am sure that One of the totals is still going up! Why are they still defaulted and active, should they not be settled now? How can I go about getting Lloyds Bank to correct these? Other debts that were covered by the DRO are all marked settled!
Sara (Debt Camel) says
Hi Samantha,
you are quite right that these debts should no longer be active. Write to Lloyds Bank and say the debts were included in your DRO. There is a sample letter here: https://debtcamel.co.uk/credit-file-after-bankruptcy/.
Nikki says
Hi, I went through a DRO in 2011. It was therefore discharged in 2012. I’m hoping to buy a council house with my partner through the right to buy scheme. When will my DRO be cleared from my record? And will I be turned down for a mortgage for this? I have a phone contract, bank account and a credit card with £1000 limit but my credit score is only 369! Your help would be appreciated.
Sara (Debt Camel) says
Hi Nikki,
your DRO will be deleted from your credit record 6 years from the date it started.
Have you checked whether all the debts in your DRO are now marked as settled with a 0 balance owing? And that they all have a default date of on or before your DRO started? See https://debtcamel.co.uk/credit-file-after-bankruptcy/ for what to do if any aren’t right.
You aren’t likley to get a mortgage from a high street lender. You will need to talk to a mortgage broker that specialises in bad credit,
Stacey says
How do i check if my debts are settled ? Where do I look ?
Sara (Debt Camel) says
Check what your credit records say at all three credit reference agencies, see https://debtcamel.co.uk/best-way-to-check-credit-score/ for how to do this for free.
Michelle says
My DRO finished a year ago , can I apply for a mobile phone contract. My son works part time in tesco and wants a phone but can,t get one because he is 16, so they have said I can put my name on contract and pay DD out of my account but Don,t know if this will work because of DRO?
Sara (Debt Camel) says
Legally your DRO has finished so you can borrow more money (which is what a mobile contract is). You may be refused because of your credit record, I think the only way to find out is to apply.
mark williams says
my dro finished in 2013 yet bt still will not update the file they say it is equifax job and equifax say it is bt not sure how to resolve this any advice please
Sara (Debt Camel) says
Hi Mark, this article https://debtcamel.co.uk/repair-credit-record-dro/ looks at how to sort out credit record problems after a DRO.
Darren says
I’m wanting to start a new business once my 12 months are up my brother will be lending me the money to do this but can the business be in my name???
Sara (Debt Camel) says
Yes, when the DRO has finished you can be a director of a company. Before that date you can be a sole trader – good people to talk to about this are business Debtline
Andrew says
Hi Sarah, does student maintenance loan count as income when applying for a DRO? secondly, how would it be seen of both our income was £1000 a month, but the person applying for the DRO was paying 80% of the rent as person B for example was paying £400 a month on a loan for example. would this be seen as not split fairly?
Sara (Debt Camel) says
Yes student maintenance loans and grants count as income for a DRO. If your incomes are equal you would be expected to split the rent and other bills equally.
I think the two of you need to talk to a debt adviser about your options. It is possible for one person to opt for a form of insolvency (DRO and bankruptcy are the most likely in your cases) and the other not, so you need to look at what your individual options are and how they interact. I suggest talking to StepChange.
Kate Willmore says
My DRO was issued on 20/10/15 so the moratorium period has now passed. One of the debts on the DRO has been sold on to another company on 21/11/16 and they have sent me a letter stating as the moratorium period has now expired and if there has been a change in my circumstances ( there has not ) am I now in a position to repay this debt. I thought that once the 12 month period was up even if my circumstances had change, which they haven’t, they could no longer chase me to repay this money?
The debt collector is Capquest on behalf of Arrow Global Limited
Sara (Debt Camel) says
They are a large firm and should know better. I suggest you reply saying you have been discharged from the debts included in your DRO and ask them not to contact you any more about them.
Kate Willmore says
Thank you for your help
Lauren Wilks says
My DRO ends 17/2/17 and I’m currently on income support as I have a young child. I really want to go back to work as I’ve been out of work for nearly 3 years! Can I do this after the 12 month period ends and not worry about it affecting my DRO?
Thanks
Sara (Debt Camel) says
Yes! At the end of the 12 months your DRO ends and the debts are written off. Every penny you earn then is fine. Time to dust off that CV!
Lauren Wilks says
Thank you Sarah!! :) xx
Snowball says
HI; the Discharge Date on my DRO was the 30/03/2013 and I’m unsure when My six year term/release date will be – is it 2018 or 2019? Please could you clarify it for me?
Will I be able to apply to a High Street Mortgage Lender then? I’ve recently received a credit card with Aqua to try & build my credit rating so I’m hoping that by then I’ll be in a better position with some savings.
Thanks in advance.
Sara (Debt Camel) says
Your DRO will have started in 2012 – it should drop off your credit record in 2018.
At that point you should be able to get a mortgage at a reasonable rate from a high street lender BUT you should go through a broker. Some lenders may refuse you because of the DRO – you may be asked about previous insolvency even when it has gone from your credit record. By going through a broker, you should be directed to the lenders who don’t mind.
Snowball says
Thanks very much for your help :-) Your site is really informative and the advice you give has been really positive and a big incentive :-)
Ian says
How can I find out when my dro started as I have no paper work due to personal circumstances. It was a joint dro with my ex.
Sara (Debt Camel) says
Technically there is no such thing as a joint DRO, I expect you both applied for a DRO at the same time.
If your DRO was probably started in the last 15 months, you will be able to see the details on the Insolvency Register.
If your DRO was started within the last 6 years, a simple way is to look at your credit records – see https://debtcamel.co.uk/best-way-to-check-credit-score/. It is pretty rare that these are wrong.
If your DRO is older than 6 years you could contact the debt adviser who set your DRO up.
If you need something official to show a creditor, contact the Insolvency Service.
Jayne says
Hi. My DRO ended on 29th Feb 2017.
I’ve looked on the Insolvency Register and I can only see the date it started, not the date it ended.
I am receiving letters from a creditor that was included in dro requesting payment.
I’d hoped by printing off the record to include ‘end date’ and sending to them with cover letter would resolve the issue.
Am I doing something wrong with my search on the register!? Thanks.
Sara (Debt Camel) says
Hi Jayne,
I made a guess at your name from your email address and looked it up on the Insolvency Service register. This says “Status Currently Subject To Debt Relief Order : Moratorium Period ended on 28 February 2017”. That Moratorium period end date is the end date for your DRO and so this entry shows your DRO has completed.
Jayne says
Ah great. I wonder if I couldn’t see it as I was looking on a mobile phone? I’ve now been able to look on a lap top and printed it off. Thanks for your detective work!
Gary says
Hi I’ve recently gone for a job, where they need a certificate of satisfaction due to me being on the DRO from 2014-2015, only thing is I’m not sure how I go about getting this
Please help
Sara (Debt Camel) says
You don’t get a certifiate of satisfaction for a DRO. If you ask the DOR Unit of the Insolvency Service they will probably write a letter confirming when yours finished.
Gemma says
Hi I’m looking into applying for a dro, I’m a bit worried about entering into one and not being able to still apply for car insurance paying monthly?my renewal is due in June and I want to switch providers. Also having a mobile phone contract will I be able to renew it? And lastly I’d like to know who would be able to find out that I have a dro e.g. Members of the public? Thankyou
Sara (Debt Camel) says
Paying monthly for your car insurance won’t affect your DRO. You may be charged a higher price for this because of your poor credit record but if you are looking at a DRO your credit record is probably already very poor!
Much the same answer for a mobile phone – keeping your current phone and having a sim only contract for a year may be much cheaper option. If you need a DRO then something has to be done about your debts and there are no other solutions that will leave you with a nice credit record.
A DRO is recorded on the Insolvency Service register which anyone can search. This also contains records of IVAs and bankruptcies.
Tracy Williams says
Will I be able to do overtime when my DRO has finished. It started on the 29th April 2016. I would be very grateful if you could help me, as the last 12 months have been a real struggle for me and now have the chance to do overtime, but wasn’t sure.
Sara (Debt Camel) says
Yes! Last two weeks then it’s all over :)
Mark Hooper says
Hi, My DRO ends this Thursday 22/06/2017 :) What will happen when it ends? Im also looking into starting my own business
Sara (Debt Camel) says
Not a lot actually happens, as the above article explains. But your debts will be written off :)
Nichola says
My Dro 6 year period has come to an end and when I have applied for a credit report I have 3 Santander accounts showing as defaulting when these were included in the dro, all other debts have gone from my file? What would be the best thing to do?
Sara (Debt Camel) says
What is the default date on these three debts? What date did your DRO start?
Nichola says
My dro started may 2011 and the accounts defaulted 25/6/2017?
Sara (Debt Camel) says
That’s odd! I suggest you ask them to backdate the default date to May 2011 – info on how to do this here: https://debtcamel.co.uk/repair-credit-record-dro/.
Nichola says
I’ll get that done straight away, thank you for you advice
CJ says
I’m currently struggling with debts and also struggling with depression (it’s been very bad the last couple of months). I’m working full time and currently have too much disposable income for a DRO (it goes on debt repayments). I feel I need to start working part time. If I do I’d have very little disposable income. If I did that would I be able to get a DRO? Would they look into my past earnings and see that I was making more money?
Thanks
Sara (Debt Camel) says
It doesn’t matter what you earned in the past, they can’t refuse your DRO because of that. I suggest talking to a Debt Adviser about your options – try calling National Debtline 0808 808 4000. Also have you talked to your GP about your depression?
CJ says
Hi Sara
Thank you for the quick response. Yes I’m under the care of a psychiatrist but unfortunately on a waiting list for counselling.
Would they be able to look at my past payslips at all? I make a good salary and I’m pretty much looking at halving my hours for a couple of years.
Also, would the fact I’ve been bankrupt before make a difference? It was around 15 years ago. My debt has happened due to gambling (as did the bankruptcy), would that make a difference?
I have a lot of issues.
Sara (Debt Camel) says
Have you stopped gambling? For how long?
This isn’t debt advice, but I think you need to consider how you will use your time if you halve your hours… you may think the depression and gambling are stress related – that may be true, but one of the biggest problems people giving up,gambling often have is a blank feeling that nothing else interests them that much. Work at least keeps you occupied!
Sara (Debt Camel) says
To answer your questions, it doesn’t matter if you have reduced your hours a lot recently, it doesn’t matter that you went bankrupt 15 years ago, you will still get a DRO if a lot of your debt is from gambling.
You may get a Debt Relief Restriction Order because of the gambling, see https://www.gov.uk/government/publications/debt-relief-restrictions-orders-and-undertakings/debt-relief-restrictions-orders-and-undertakings#drro-and-drru-restrictions. But so what? You could sensibly decide you don’t care about that.
Andrew says
Hi, wife is currently in a DRO which is due to end in 2 months. The amount is for £19000. My husband is being made redundant and should receive around £6000. Can I contact all creditors and offer them a split of this to come out of DRO? Or pay a couple of them and just owe money for a few of the creditors? Will the DRO marker be removed from my file? Thanks
Sara (Debt Camel) says
No, no and no. Leave wife’s DRO alone, you aren’t legally allowed to offer creditors any money, if you did settle all the debts the DRO marker would remain for another 5 years anyway. It’s is not possible to cancel a DRO see https://debtcamel.co.uk/cancel-dro/.
So wifes DRO completes in a month, her debts are wiped out and husband has the 6k redundancy cushion.
Carly says
Hi, my DRO ended in May and the debts are still listed as short term debt on my credit file 3 months later. Could you give me the link for the letter templates to ask them to settle the debts of my file please
Sara (Debt Camel) says
https://debtcamel.co.uk/repair-credit-record-dro/
poppy says
Hi,
If after the 12 months has ended on your DRO and say a year later you got full time work, will this affect your DRO, or is it once your DRO has done the 12 months, that is it?
Thanks,
Poppy
Sara (Debt Camel) says
Once your DRO has finished after 12 months your debts are wiped out. You can earn a 100,000 a year and inherit a million and it’s all yours.
Bridget says
I had a DRO two years ago, included was 700 pounds for rent. My landlord is now chasing me for the money saying there was no note of the DRO on the rent system. I have the paper copy which clearly states the rent was included.
What should I do
Sara (Debt Camel) says
I think you should talk to the debt adviser that set up your DRO. Handling rent arrears can be tricky.
DMM says
Hi there!
So I’ve applied for a DRO and my application was sent off today, however I have been reading in online forums that I should not have used credit at least 1 month before application, 3 months being advised. I live in debt, and I was unaware of this and had to pay for a service and mot on my car about a week ago. I am so scared my DRO will be rejected but I also had no other option. I also must have misunderstood the question by the intermediary as I was asked if I had taken out credit in the last 3 months, which I haven’t. But I have used credit? It’s only now having read up I am having such a panic.
Sara (Debt Camel) says
Hi, this article https://debtcamel.co.uk/dro-applications-faqs/ looks at this particular situation – and oddly enough I actually mentioned car repairs…
As your application has been submitted, you will know in a day or two is it has been approved. It’s natural to be nervous but all you can do is wait. Can you come back and say what has happened?
DMM says
Thanks! Will let you know what happens. Just worried I will look dishonest but I honestly had no idea.
Dennis says
If I’ve had a DRO and it’s all finished well over the six years and it wasn’t your fault in the 1st place anyway , then can you go and make a claim for PPI’s later
Sara (Debt Camel) says
Yes. See https://debtcamel.co.uk/ppi-iva-dro-bankruptcy/.
Andrew says
Hi Sarah, my DRO anniversary is up and I know it’s is only a few days gone, but it doesn’t show anywhere on the register that it has completed yet. How long does it usually take for this to happen?
Many thanks
Sara (Debt Camel) says
It’s normally pretty quick. If it isn’t there after a couple of weeks, I suggest you contact the DRO unit.
Andrew says
Hi Sarah
My DRO completed a few days back and today I’ve received a letter from one a collection agency, saying that one of the debts included was bought by them and we still owe them the money?? They state they forgot to provide us with a formal notice of assignment but still owe the money and to pass this on to OR? Can they do this? Thanks
Sara (Debt Camel) says
If the debt was included in your DRO it has now been wiped out, the fact it was sold to a debt collector during your DRO doesn’t make any difference to this.
I suggest you tell them to contact the Insolvency Service’s DRO team to get confirmation that your DRO has ended and that you don’t owe the money.
Well done on your DRO ending. You may be interested in https://debtcamel.co.uk/repair-credit-record-dro/ .
Andrew says
Thank you Sarah. Your site beats any on the web!
Tim Everett says
Hi there, we successfully went through a DRO with Christians against poverty and it was “written off” in January 2015. We’ve had communication from our old Bank saying that I had been overcharged and there was a four figure sum (they discovered that I paid the wrong interest on a loan pre DRO) but they went on to say it was being used to adjust the outstanding debt. They admitted the DRO was successful and that we would never be chased anymore but that there was and still is a debt to pay. Is this right? CAP, the actual DRO office themselves and CAB have all stated that if the debt was included in the DRO then they are not allowed to have a debt against my name. Any idea what my position is please? Thanks in advance, Tim
Sara (Debt Camel) says
I think the debt to Barclays doesn’t exist any more, so they shouldn’t be able to offset the refund against it. I suggest you put this in writing to them and then send them a formal written complaint if it is not resolved. If they still don’t agree, the next step is to complain to the Financial Ombudsman – there is a random element here as the ombudsman makes a decision that is fair, it is not always what a court might have decided. If you want to go to the FOS, you might consider going to your CAB and asking for their help to do this.
Samantha Barker says
is there a way to go back and pay? My dro finished 4 years ago but my financial circumstances have changed enormously.
Is there a way I can now pay these debts in order to clear my credit file faster?
Sara (Debt Camel) says
No there isn’t. There is a procedure to do this with bankruptcy (it is colossally expensive, you have to pay the debts, also statutory interest on them and the very high Insolvency Service fees, typically over ten thousand pounds, and apply to the court to get the bankruptcy annulled) but this doesn’t exist for either DROs or IVAs.
Your credit record will be clear in 2 years. I hope you have already started the process of cleaning up your credit record: https://debtcamel.co.uk/repair-credit-record-dro/
Samantha says
Aaah boo what a shame, but that’s what I had thought. Hindsight is a wonderful thing Huh! Yes I’ve done everything in my power but my score is still pretty rubbish, so time is the only thing now i suppose.. thank you for your response x
Chelsea says
I did a dro which ended last year but iv come to realise that the name of one of the companies on my dro is wrong so they are harrassing me is there anything i can do to change it should say advant but says advantis so they avnt been sorted
Sara (Debt Camel) says
Who set up your DRO? Do you know how this mistake happened?
Karen Burton says
Hi, I’m about to apply for a DRO and wanted to know what checks the insolvency service do when they get the application?
Thanks
Karen
Sara (Debt Camel) says
Not many – the person who is setting up the DRO for you does them all so it’s incredibly rare for an application to be rejected by the IS. See https://debtcamel.co.uk/dro-applications-faqs/ which looks at common questions people have about applying for DROs.
Suze Page says
Please tell me whether 3 years after a DRO has been discharged if a Default amount shoul be showing on your Credit Report.
I contacted the creditors involved and they have all been marked Satisfied / Settled, but the Default amount still displays.
I further understand that all the Default Dates should be either before or on the date of the DRO.
Please would you clarify these points for me.
Many thanks
Sara (Debt Camel) says
The current balance should show as zero – does it? If it does, it doesn’t matter that there is another field showing the default amount.
Yes, all the default dates should be on or before the date of the start of the DRO. See https://debtcamel.co.uk/repair-credit-record-dro/ which explains how to get errors corrected.
K P says
DRO created 28/06/2012 – discharged 28/06/2013
Lloyds Tsb kept harassing me, despite, knowing – I’m a vulnerable autistic adult – and the distress they were causing.
Today I learn – they updated – and marked the account as in “default” This month! (found on these – Experian
Equifax
Callcredit)
Also according to one of them, another of the closed accounts, is marked as “Default” I give in!
Sara (Debt Camel) says
You should not have been harassed during your DRO, that’s unusual.
See https://debtcamel.co.uk/repair-credit-record-dro/ for how to get this incorrect default sorted.
Kathy says
Hi I had a DRO in 2012 and now I’m suddenly getting letters from collectors for debts In sure were listed. I’ve moved a couple of times since then and no longer have my copy of the order is there anywhere I can get a duplicate copy as I’m sure they should not be chasing these debts if they were written off?
Sara (Debt Camel) says
Ask the Official Receiver for a copy of your Debtor’s Notice – that lists the debts.
If you accidentally missed a debt off, then it could well be statute barred by this point anyway – talk to National Debtline 0808 808 4000 about this.
Vicky says
Hi I had a dro that should have finished the 12 mth period around may 2018 . I am worried as I have just received a later from one of the company’s that I owe money. Does this mean my dro has not gone through
Sara (Debt Camel) says
Have you checked the Insolvency Register as the article suggests? If you aren’t there it seems more likely that your DRO finished just fine but this creditor hasn’t realised.
Monique says
Hi I am having the same problem I have searched my name on the register and it’s only saying type debt relief order and start date 13/12/2017 no end date? I was hoping by the 13th of Dec 2018 is would of finished why? And it’s still saying active on my credit file.
Sara (Debt Camel) says
if No end date has been added in a couple of days, I suggest you contact the Insolvency Service and ask what is happening.
Rob says
What happens when you have two different credit file for example on Experian it shows my debt relief order with the account closed with the debt they’re still it has been 7 years in all. But on a clearscore credit search it shows my don’t show my debt relief order but and account open live but at the same time I’ve not had a visit or any letters from anyone so I am assuming it is a computer ever but how long does the debt accounts show on my credit file after order has ended as it has been 7 years 2 months
Sara (Debt Camel) says
Check on the Insolvency Register that you name is not still there https://www.insolvencydirect.bis.gov.uk/eiir/. If it has gone, then send Experian a complaint asking them to correct their records. Point out that your DRO does not show on ClearScore.
Also check your Noddle credit record – that is the third of the big 3 UK credit reporting agencies.
Claire says
Hi I had a dro in 2011/12 so think it was finished in 2012. I’m currently in a bad position and need a dro again. Have you heard of anyone having a second dro? I tHink I’m safe in 6 years zone but unsure. Would I be denied if it was less than this?
Sara (Debt Camel) says
Yes second DROs do happen – I am sorry you need another one, but it is an option for you now after 6 years if you need it. If it is less than 6 years, a new application would be rejected.
Gavin says
I am looking at having a dro I’m ok financially to live but not to pay off debts I had from a younger age and persional difficulties. Will I benefit from it in the long run? Can I still get car insurance paying monthly and broadband and phone contracts. I do currently have these but will I struggle when they are up?
Also what do they keep a eye on in the first year when the dro is active.
Sara (Debt Camel) says
I think you need to talk to a debt adviser about your whole situation – I suggest you call National Debtline on 0808 808 4000. Most people who “need” a DRO will benefit from it hugely, but you need someone to look at the specifics of your situation, not go by some general rule of thumb.
If you have car insurance, mobile and broadband contracts and these are not in arrears, you do not have to put your current contracts into a DRO. When they are up for renewal, most people don’t usually have a problem, though some providers are fussier than others. if you want a generalisation it can often be easier to renew a contract than switch providers.
Andrew says
Hi, we are now 2 years discharged from a DRO but now have the money to pay off the debts. Are we able to do this is is that a straight No?
Thanks
Andrew says
Just got the answer from another part of your site – No! Thank you again as your site is very good for info.
Luke says
Hi,
I had a DRO that started in Nov 17, I’ve recently checked my credit score and most of the debts included show as ‘Settled’ but some (3 Barclays and 1 BT) show as ‘Defaulted’ should this be the case?
Thanks
Sara (Debt Camel) says
The defaulted loans – is there still a balance showing on them?
Luke Harris says
Yes on all 4.
Sara (Debt Camel) says
That is wrong. Read https://debtcamel.co.uk/repair-credit-record-dro/ and follow the description there about how to complain.
Luke Harris says
Under section 2 on that page what are you referring to when you say, ‘copy of my Insolvency Service entry’?
Sara (Debt Camel) says
The entry on the Insolvency Service register – I have changed the letter so it says that.
Luke Harris says
My DRO ended in November so I will no longer on the Insolvency Service register, would there be something else I could use instead?
Sara (Debt Camel) says
No. Just tell the creditor your DRO has finished. If they dispute it, tell them to contact the Insolvency Service’s DRO team to get confirmation.
Luke Harris says
Thank you, you’ve been extremely helpful.
Liam says
My DRO was a year old yesterday, there is no date next to date satisfied on my credit report is this correct?
Also default date differs on all debts included in my DRO, is this okay or should they all say 24/04/2018?
Many thanks
Sara (Debt Camel) says
Make sure you take a screen shot of your insolvency register entry when that shows the DRO is completed. Congrats!
The default date should be on or before 24/04/18. Not after.
It may take a while for the debts in your DRO to all show as satisfied with zero owing. I would check again in a month.
Liam says
Many thanks!
With some showing a default date of a month maybe two after how do I get those rectified?
Should the DRO show up as completed soon?
Regards
Joseph lemon says
Hi I had completed my dro in December 2018. And one of the company’s that was included in my dro has sent me a refund in 2019. I don’t understand I owed them money so why are they giving anything back to me. Is there any way if I accept this they will think I have more money then I do an re open my debt. Or is it 100% wiped off and nothing can be chased again. Thank you
Sara (Debt Camel) says
Is this for PPI or something like that? have you actually been sent a cheque?
Joseph lemon says
Hi. It says we have recently undertaken a review of our internal collection processes and have found that between May 2014 and October 2014 following an assessment of your financial circumstances. We did not always take appropriate course of action when dealing with your account. We’re sorry this happened. We are refunding interest,fees/charges during the period where we did not always take the appropriate course of action based upon our understanding of your circumstances at the time. We are also sending you an additional 8% inttrest which we have calculated from the dates we didn’t do what we should of done to the date of the refund. And no no cheque yet but says I should receive witching 10 to 7 days. I suffer with mental health and just panicking about everything thinking there trying to trick me because it does not make sense. Thank you
Sara (Debt Camel) says
Is this Barclays or Barclaycard? A lot of people are getting letters from them. I suggest you wait for the cheque. They may yet realise that you had a debt to them in your DRO.
Joseph lemon says
No it’s lloyds. I don’t understand what you mean sorry. Both my accounts have been defaulted since 2016. It says it on my credit report. So what would I do if I received the cheque? And cashed it? Would my dro be then invalid
Sara (Debt Camel) says
Your debt to them is gone forever, this isn’t some sort of trap.
Hajnalka Hernadi says
Hello,
My DRO is finished and when I check my credit report, at the open account section some of my debt shows as default (with the amount). At the section, which says closed account, all showing settled or satisfied. Should all my debt (included in DRO) should be at the closed account and marked as satisfied? I am a bit confused.
Many thanks for your help.
Sara (Debt Camel) says
All the debts should be marked as defaulted on or before the date your DRO started, and should now be closed and settled/satisfied (pr partially settled/satisfied).
How long ago did your DRO finish?
Hajnalka Hernadi says
Thank you for your reply.
My DRO finished 2 months ago.
Sara (Debt Camel) says
ok, that’s quite soon, I suggest you wait another month then follow the process described here https://debtcamel.co.uk/repair-credit-record-dro/ to clean up any records which aren’t correct.
Jack says
Hello, my DRO is due to end on the 5th Feb 2020. I have the opportunity to start a new post on the 1st Feb 2020, this is more money than I am currently being paid. My first pay won’t be until the 20th Feb which is only 15 days after my DRO will have ended. Do I still have to inform IS of this change? Will it affect my DRO?
Sara (Debt Camel) says
I doubt that would be a problem but I always suggest that people should talk to the debt adviser who set up their DRO as they know your full situation.
Vanessa says
Hi, I got a DRO in July 2013 and having checked my credit file I applied for a mortgage in October which has been approved, at the beginning of the AIP the question asks if you’ve had a DRO within the last 6 years which I answered no as it was over 6 years. I’ve now received a letter to sign from the solicitor which states I have never been bankrupt or had insolvency proceedings. I’m worried that when I tell the solicitor that this will cause a problem with the mortgage but I’ve even checked the mortgage providers website and it definitely says within 6 years, any advice please?
Sara (Debt Camel) says
Who is this solicitor?
Vanessa says
The solicitor is my conveyancer, should I put their name?
Sara (Debt Camel) says
No, I just wanted to know if it was your solicitor or from the lender. Tell your solicitor the truth – when your DRO was. And also say that the mortgage application only asked if you had had a DRO in the last 6 years, to which you cirrectly answered No.
Vanessa says
Thank you very much
gianfranco says
Hello my DRO as been accepted on the 12 August 2015 .
When it will be finish ?
Thank you
John
Sara (Debt Camel) says
Your DRO will have ended in 2016! If you look up your name in the Insolvency Register here https://www.gov.uk/search-bankruptcy-insolvency-register you will not be on that list.
Sian says
Hi Sara my dro is set to end a week today. I should be relieved but am feeling anxious and scared. Im waiting for it all to go wrong and dont have the strength mentally to go through anything like this ever again. if I have got this far should i be ok do you think? Feel silly posting this but need to clear it out my head. Many thanks and kind regards
Sara (Debt Camel) says
You should be fine. Literally nothing happens at the end of a DRO. No special checks.
I would cross my fingers for you – but you don’t need it!
Sian says
Many thanks for your quick reply and putting my mind at rest. I’ll try to relax a little now :) your site and yourself are a lifesaver. Thank you again. x
rob says
Can I get an DRO if I own a house abroad?
Sara (Debt Camel) says
No.
Meh says
Hi I applied for DRO on 2011 and now I have find myself in difficulty Financial situation which affecting my health with a debt of 8-9k
Can I get help again or do I need wait for 10y from approval Of my 1st DRO
Sara (Debt Camel) says
You can get another DRO now as it has been over 6 years. Not sure where you heard 10 years from but it’s wrong.
martina says
I am going to write to LLoyds bank as they have kept my debt active after my DRO was settled in 2017.
Should they be backdating the credit file and marking it at £0 owing from 2017 or do they only have to do it from now? As that would be really unfair.
Thank you for this site!
Sara (Debt Camel) says
You had a DRO in 2016 which finished in 2017? Is there a default date on this debt on your credit record?
Martina says
Hi Sara
Yes the DRO was started 24/8/16 and Satisfaction date 24/8/17.
However on Lloyds account it has a default date of 31/10/16. No satisfaction date just current balance and default balance.
Every month on my Experia CR it has the debt balance and account status code 8 for Lloyds.
If they correct it should they also backdate it to 2017?
Also should the monthly balance say £0?
Thank you for your quick reply!
I am saving hard for a mortgage deposit and have tried very hard to build my credit score up.
Sara (Debt Camel) says
The default should be on the date the DRO started and it should have been marked as satisfied or partially satisfied whent he DRO ended. This https://debtcamel.co.uk/repair-credit-record-dro/ explains how to ask LLoyds to corct this.
Doing this will not improve your credit score now but will mean your score is clean when the DRO drops off in August 2022. You won’t be able to get a mortgage before then anyway.
martina says
Ah right, I have been told that it would be possible to get a mortgage but it would be at a higher interest rate and I would need a larger deposit.
Plus it depends on what happens with the market too now.
Thank you.
I will send that letter off.
Sara (Debt Camel) says
It would be at a dreadful rate.
Mr Colin H says
Can you give advice please all debt defaults started in Jan 2014 and finished in Jan 2020 and all have been removed from from credit file however my DRO started later and finished 2019 Discharged the GRAs say DRO must stay on another 5 years even if my debt defaults completed six years and been removed even if they are linked to default dates and it does not count only DRO discharge date which meaning I have DRO referring to non existing debts that can not be found on credit file and it will total 11 years is this legal or should they remove my DRO
Sara (Debt Camel) says
Your DRO will stay for 6 years from its start date.
Even though the debts in your DRO had defaulted earlier and dropped off, they were still legally enforceable debts. So the DRO stopped your creditors going for CCJs which would have been on your credit record for another 6 years.
Bonnie- Jo says
Hi Sara,
Thankyou for the reply. I will take a look at the link attached. You’ve been very helpful.
Thankyou again
Joshua says
Hi My DRO ends in a few weeks ,before the dro i had pay pal credit ,the limit was £ 500 i never used it ,but in febuary my fridge freezer packed up and i had to buy a fridge freezer using paypal credit for £ 349 but i paid it off on payday (paid mothly) after doing 4 nights overtime to pay for it ,will this be checked at end of DRO or can dro be revoked? Im stressing now but we needed it urgently.
Sara (Debt Camel) says
There aren’t any checks at the end of a DRO.
You should not have taken credit of more than £500 without telling the lender, but this credit was under that amount.
You should have told the OR about the extra overtime, but it sounds like quite a small amount so it may have been alright – I suggest you talk to the person who set up your DRO is you are worried.
Going forward, Paypal credit is expensive. I know it’s hard, but if you could try to put aside a small amount each month for an emergency fund, you will be better placed to manage these problems when they arise.
Joshua says
Thank you for that ,the credit has sat there for 3 years in paypal never once used it but really needed it ,ive done know overtime in my DRO ,the paypal credit was interest free over 12 months but i thought do the 4 nights get it paid and dont use it again ,its hard to put money away as ,as you say extra money has to be declared so no overtime in 10 and a half months ,once ,my dro is over i can do the overtime and put money away .
Nat says
Hello, this is an amazing site!
I’m upset with Stepchange. I’ve had a significant change in circumstances since I set up my DMP 2 years ago (my Husband is now registered blind and our household income has dropped dramatically)
Im no longer in a position to repay via DMP so wanted to apply for DRO
However Stepchange never told me that the payment of £200/month I was making to a family member would be considered a ‘preferential payment’ when I initially did my DMP budget with them. I just thought it was a valid expense to add to my budget.
If I apply for a DRO and dont declare this payment to family on my application, will the insolvency service check with the creditors anyway and be able to see on my past DMP budget that I had a preferential payment to family?
Ive no idea where I stand if so as Im still not able to repay. Stepchange also had me on a DMP which had a 11 year repayment term – I thought they werent supposed to recommend anything above a 10 year term?
Thanks for any information
Sara (Debt Camel) says
If you don’t think StepChange gave you good advice 2 years ago, you can put in a complaint to them. But is it fair to criticise StepChange for not explaining the rules of DROs when you weren’t eligible for one 2 years ago? Was bankruptcy discussed as an option? And you havd Repaid a significant amount to a family member which presumably you wanted To do?
If your DMP is no longer affordable, I suggest you talk to StepChange about your options. These preferential payments are very likely to be spotted by the adviser that sets up a DRO so a DRO application is unlikely to be put forward.
Nat says
Thankyou for your reply.
Re: Stepchange, I just wish I knew re: preferential payments. Of course I wanted to repay the family member but I feel it’s now going against me. I thought I was doing the right thing back then in regards to the amounts I paid my creditors.
I’ve been told elsewhere that the intermediary will only check experian and insolvency register – how and where will they spot my historical preferential payments ?
Thanks again
Sara (Debt Camel) says
The intermediary should check for transactions giving preference to some creditors in the previous 2 years. You may well be asked for copies of your bank statements.